Canyons Resort Banks $54.4 Million In Lawsuit Over Lost Revenues

At A Glance

Where

Park City, Utah

A Salt Lake City jury has awarded Canyons Resort in Park City, Utah $54.4 million for revenue lost from the delayed construction of a golf course, according to a report this week in The Snow Industry Letter (TSIL), a trade publication.

The American Skiing Company Utah - now a subsidiary of Canyons owner Talisker Corp. - filed the suit five years ago against Wolf Mountain Resorts, a Kenneth Griswold company, and former operator of the ski area.

The jury found that Wolf Mountain had breached a 1997 lease agreement and also had not met obligations under the Canyons master plan development agreement. Jurors sat through seven weeks of testimony and arguments.

The Canyons claimed that Wolf Mountain interfered with development of a golf course by withholding land it had previously pledged. The golf course was key to developing surrounding acreage into lodges, townhouses, hotels and restaurants, according to John Lund, The Canyons attorney for the case.

Lund said the $54,437,000 requested was for lost profits from both the development of land around the planned course and the lost business the resort would have received from those developments.

Lund also said he could not comment on how Canyons might be paid, but added that the resort had every intention of holding Wolf Mountain accountable. Wolf Mountain's attorney David Wahlquist told the jury that it was Canyons that was in breach of contract for not obtaining a permit from Summit County for the golf course and said they are considering an appeal.

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